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Square vs. Paypal
Find the right payment processing platform for your business.
Online, on-the-go, on the phone, in your store
Retail or restaurant. Beauty or bakery. Bricks and mortar, online, or a bit of both. Many businesses big and small choose Square over PayPal because it helps them solve their trickiest challenges.
How Square compares to PayPal*
Trustpilot comparison
Square
4.3/5
PayPal
1.3/5
Cost comparison
| Square | PayPal | |
| EFTPOS payment processing fee | 1.6% on Square Terminal and Square Register 1.9% on Square Reader or Square Stand *Custom pricing may be available for businesses processing over $250k per year. |
EFTPOS and in-person payment processing unavailable |
| Additional fees for international card processing | None | 1% additional fee applied for international card transactions $10.01 and above |
| Online payment processing fee | 2.2% | 2.6% + 30c |
| Virtual terminal processing fee | 2.2% No monthly fee |
3.6% + 30c Monthly fee - $25/month |
| No chargeback fees | Yes |
$15 per event |
| No hardware rental fees | Yes |
N/A |
| Next-day transfer to external bank account as standard | Yes |
No |
| Instant transfers – access your funds right away (for a fee) | Yes |
Yes |
In-person payments
| Square | PayPal | |
| Free POS app | Yes |
No |
| All-in-one POS system with customer display and built-in software |
Square Register - $1,099 | No |
| Portable EFTPOS machine with built-in receipt printer and free, pre-installed POS software |
Square Terminal - $329 | No |
| Countertop iPad POS stand with built-in card reader |
Square Stand - $149 | No |
| POS Hardware starting price | Square Reader - $65 | POS hardware not available |
| Physical gift cards | Yes |
No |
| Afterpay acceptance in person | Yes |
No |
| Built-in surcharge feature | Manual surcharge available | No |
| Offline mode | Yes, with Square Terminal and Square Register | No |
| Take payments in under two seconds | Yes |
No |
Online and remote payments
| Square | PayPal | |
| Free online store | Yes |
No |
| Website templates | Yes |
No |
| Online ordering for Restaurants | Yes |
No |
| Payment links | Yes |
Yes |
| Invoicing software | Yes |
Yes |
|
Virtual Terminal to take payments over the phone or on your computer |
Yes |
Yes |
| Afterpay acceptance online | Yes |
No |
| Fraud prevention and detection software |
Yes |
Yes |
| e-Gift Cards | Yes |
No |
Solutions designed for you
| Square | PayPal | |
| Retail POS System | Yes |
No |
| Restaurant POS System | Yes |
No |
| POS System for appointments-based businesses |
Yes |
No |
| Kitchen Display System | Yes |
No |
| Loyalty program software | Yes |
No |
| Email marketing software | Yes |
No |
| Photo Studio app for item library and online store |
Yes |
No |
|
Team management software including rostering and time tracking |
Yes |
No |
| Inventory management | Yes |
No |
| Customer management | Yes |
No |
*Competitive data on this page was collected on the 3 March 2023 and is based on information found on www.paypal.com/au. This information is subject to change or update without notice. Square does not make any representations as to the completeness or accuracy of the information on this page.
Why businesses choose Square over PayPal
They’re both payment processing platforms. They both have a free POS app. But with simple pricing and intuitive tools you can use right from the get-go, there’s a reason why so many businesses choose Square.
Square’s tools work for you, not the other way around
When comparing Square to PayPal, many businesses are drawn to Square’s fair and flexible pricing. Plus, there’s a variety of tools ready and waiting to take on any job you throw at them.
Everything you need to run your business, anywhere, anytime
Square has all the tools you need to reach your customers and grow your business, whether in person, online or both.
Our interface is intuitive, no need for manuals or training. Start making sales in minutes, or add a synced online store with no coding required.
You’re never locked in to using only Square solutions. We work seamlessly with third-party technologies to streamline the way you like to work, saving you time. Plus, you only ever pay for what you need.
Understand your customers better with every payment. Automatically create valuable customer profiles, track preferences, collect customer feedback and reward customer loyalty.
Schedule and manage team members with Team Management. Track your inventory or make appointments. With one easy interface, it’s all at your fingertips.
Online, in-store, over the phone. Start selling wherever your customers are. Sell through Instagram and Facebook. Offer order pickup, local delivery and shipping. Manage your business from one place.
As your goals shift, you can quickly add tools that help your business, from offering gift cards to adding devices and locations, all with a couple of taps.
Hardware for selling anywhere.
The fastest and most secure way to pay. Accept chip + PIN cards, contactless payments, Apple Pay and Google Pay. An easy solution for your on-the-go business.
The all-in-one portable EFTPOS machine that lets you accept all kinds of payments easily and print (or email) receipts – the perfect solution for tableside services.
The fully integrated touchscreen point-of-sale that lets you start selling right out of the box. Manage card and contactless payments, online sales and more, all from one POS register.
Turn your iPad into a powerful point of sale with payments built in. On a swivel, Stand becomes a customer display, so you can sell accurately and customers can confirm their total and pay.
FAQs
(by people thinking about switching from PayPal to Square)
Square was one of the first to sell mobile credit card readers and PayPal is known primarily for its online payments.
But Square offers much more than secure payment processing. Flexibility and scalability are already built in, allowing you to add features if and when you need them. Tools like staff management, invoices and appointments will let you expand your business online, at the tap of a screen.
Square easily integrates with other tools and lets you build custom experiences with our APIs and SDKs.
Square’s also known for its simple and transparent pricing with no hidden fees or nasty surprises. With Square, what you see is what you get and you only pay for what you need.
Besides affordability, the biggest difference between Square and PayPal is that PayPal operates solely as an online payment solution.
With Square, you get secure and seamless online and in-person payments, but also an extensive suite of business solutions, all of which integrate seamlessly.
You can build your online store, use your computer as a virtual payment terminal or even create an online checkout using buy buttons, payment links or QR codes which can be shared through social media, email, text or on your website.
You can drive revenue through the use of digital gift cards, clock your team in and out and automatically create valuable customer profiles.
Switching to Square from PayPal is easier than you think. If you have lots of data to migrate, a Square implementation expert will help you set up hardware and software, connect your existing apps and services, train your staff and help you get the most out of Square. Contact us to learn more.
Yes, you can accept payments with PayPal on Square Online. And with PayPal’s payment processor, you’ll have access to a more global customer base, allowing a wider range of customers to purchase from your website where their cards may not be accepted.
Taking PayPal payments requires an upgrade on your Square Online site and this walks you through the process step by step. The only things your customers won’t be able to pay for via PayPal are appointments, gift cards and local delivery.
You can go from downloading Square POS to making your first sale in minutes by signing up for your free account here. Our hardware works out of the box with no configuration required. You can create your own site with our website builder on Square Online or sync your existing eCommerce platform.
Our Support Centre can help with general questions, and once you have signed up for an account, you can contact our highly trained customer support team via phone or email.
Resources
How Square works
Square connects all sides of your business with easy to use tools designed to give you time to focus on what you do best.
Technology Investment Boost
The Technology Investment Boost allows businesses to claim a bonus 20% deduction for going digital.
Compare Square
Find out how Square stacks up against other payment providers and business solution tools.